Overall, the Asian session returns to its usual pattern of trading, moving very slowly around the close prices of the U.S. session. This is a big shift from the volatile market seen only the day before, when the majors were able to pull new highs against the dollar and break important swing points. Ahead, the European calendar is loaded with releases, something that will assure the market’s liquidity.

The Euro (Eur/Usd) formed a large bearish pin-bar in the last day of trading. The euro advanced 100 pips shortly during the Sunday open, but gave back and fell another 100 pips during the U.S. and European sessions. In the Asian session, the euro made a new low, but then it quickly retraced the move back. 

The Pound (Gbp/Usd) finished the last day of trading gaining 100 pips, being the only major that advanced against the dollar. In addition, the pound managed to strengthen in the European session, while the rest of the majors saw some strong selling orders. Currently, the pound trades trapped between the 20 and the 50-day moving averages.

The Aussie (Aud/Usd) failed again to break above the 20-day moving average. The aussie broke briefly above it during the European market, but after that, it tumbled 150 pips during the rest of the day. In the Asian session, the aussie rose a few pips.

The Cad (Usd/Cad) formed a doji-star for a second consecutive day, suggesting the market’s indecision. The pair fell nearly 180 pips in the first part of the trading day, but retraced everything in the European session. In the U.S. trading hours, the cad traded in a tight range, the same happened in tonight’s Asian session.

The Swissy (Usd/Chf) fell 100 pips yesterday, in the early part of the Asian session, but reverse and gave everything back during the rest of the European session. By the end of the U.S session, the swissy rose 100 pips. In tonight’s Asian session, the swissy traded flat, around the high of the previous day.

The Yen (Usd/Yen) had a very strong momentum yesterday, in the European session. The yen advanced almost 200 pips, in a very short time-span, and broke above the 100-day moving average soon after the London open. Currently, the yen is trading near the 94.50 area, where it had also topped in January.

The Corporate Services Price Index fell to -2.2 percent for the month, as commodity prices tumbled and a deepening recession caused companies to slow spending. Advertising agencies have been especially hard hit as demand wanes. This January, consumer prices in Japan have fallen for the first time in more than a year.